Introduction
What is ESAF Small Finance Bank Limited? ESAF Small Finance Bank Limited is a bank in India. Think of it as a place where people save money, take loans, and do other bank-related stuff. It’s an important player in India’s banking world.
Recent Financial Performance
How did the bank do recently? In simple terms, the bank made more money this year compared to last year. For a specific period ending on June 30, 2023, the bank’s profit went up by 22.64%. This means if they made $100 last year, they made about $122.64 this year.
Year |
Profit (in crores) |
Description |
Last Year |
₹105.97 |
The bank made ₹105.97 crores during this time last year. |
This Year |
₹129.96 |
This year, they did better and made ₹129.96 crores. That’s an increase, which is good news for the bank. |
Operational Highlights
What’s an operating profit? Operating profit is like a report card for banks. It tells us how much money the bank made after paying off its bills. For our bank, ESAF, this profit grew by 33.46% from the previous year. So, they’re not just making money; they’re also managing their expenses well.
Year |
Operating Profit (in crores) |
Description |
Last Year |
₹225.29 |
Last year, after paying all its bills, the bank had ₹225.29 crores left. |
This Year |
₹300.67 |
This year, they managed to have ₹300.67 crores after all expenses. This shows they’re doing a good job. |
Net Interest Income (NII) Analysis
What is NII and why is it important? NII stands for Net Interest Income. Imagine you lend your friend $10, and he gives you back $12. The extra $2 is the interest. Now, banks do this on a much larger scale. They lend money and earn interest. But they also borrow money and pay interest. NII is the difference between the interest they earn and the interest they pay. It’s a big deal because it shows how well a bank is doing its main job: lending money.
For ESAF, their NII went up by 30.46% this year. This means they’re doing a great job lending money and managing their costs.
Year |
NII (in crores) |
Description |
Last Year |
₹448.76 |
Last year, the bank’s NII was ₹448.76 crores. |
This Year |
₹585.45 |
This year, it went up to ₹585.45 crores. This is a sign that the bank is on the right track. |
Business Growth and Expansion
How is the bank growing its business? Banks grow by lending more money to people and businesses. One way to measure this is by looking at the “Advances under Management.” For ESAF, this number has gone up by 35.08% in a year. This means the bank is lending more, helping more people, and growing its business.
Date |
Advances under Management (in crores) |
Description |
June 30, 2022 |
₹12,735 |
Last year, the bank had given out loans totaling ₹12,735 crores. |
June 30, 2023 |
₹17,203 |
This year, they increased it to ₹17,203 crores. This shows the bank’s commitment to helping more people and businesses. |
Asset Quality and Management
How well is the bank managing its loans? Not everyone can pay back their loans on time. When they don’t, these loans become what banks call “Non-Performing Assets” or NPAs. It’s essential for banks to keep this number low. Good news! ESAF has improved its NPA position, meaning fewer people are defaulting on their loans.
Date |
GNPA (in crores) |
NNPA (in crores) |
Description |
Last Year |
₹734.36 |
₹439.42 |
Last year, the bank had some loans that weren’t being paid back. GNPA was ₹734.36 crores, and NNPA was ₹439.42 crores. |
This Year |
₹237.61 |
₹115.61 |
This year, these numbers have gone down a lot. GNPA is now ₹237.61 crores, and NNPA is ₹115.61 crores. This is a big improvement and shows the bank is doing a good job managing its loans. |
Management’s Perspective
What does the bank’s boss think? Kadembelil Paul Thomas, the big boss (or CEO) of ESAF, shared his thoughts. He’s happy with the positive results and promises to keep up the good work. He believes in helping the community and providing value to the bank’s customers.
Future Outlook and Commitment
What’s next for the bank? The bank isn’t just resting on its laurels. They’re looking ahead! They want to bring new ideas, grow more, and always put their customers first. They aim to play a big part in the financial world and help the economy grow.
Conclusion
In simple words, ESAF Small Finance Bank Limited is on a roll! They’re lending more, managing their loans well, and have big plans for the future. The bank’s boss is happy, and so are the customers. It’s a win-win for everyone!